U.S. ploy against Iran: envoy: 

U.S. ploy against Iran: envoy: 

Context

• Iranian Ambassador Gholamreza Ansari accuses the U.S. of trying to ensure that India reduced oil imports from his country.

Some facts

• India has cut its oil imports from Iran by approximately 20% in 2017, though its global imports have risen by 5.4%.  to “diversify” its imports so as to get more competitive rates.
• In June 2016, India committed to invest $500 million, including $85 million in developing two container berths and three multi-cargo berths at the Chabahar port, as well as about $1.6 billion to build the Chabahar-Zahedan railway line, which will facilitate trade to Afghanistan.

India-Iran relationship

India and Iran have friendly relations in many areas, despite India not welcoming the 1979 Revolution. There are significant trade ties, particularly in crude oil imports into India and diesel exports to Iran. Iran frequently objected to Pakistan’s attempts to draft anti-India resolutions at international organisations such as the OIC and the Human Rights Commission.

India welcomed Iran’s inclusion as an observer state in the SAARC regional organisation.

• A growing number of Iranian students are enrolled at universities in India, most notably in Pune and Bengaluru.
• highway between Zaranj and Delaram (Zaranj-Delaram Highway) is being built with financial support from India.The Chabahar port has also been jointly financed by Iran and India. India is helping develop the Chabahar Port, which will give it access to the oil and gas resources in Iran and the Central Asian states. By so doing, India hopes to compete with the Chinese, who are building Gwadar Port, in Pakistani Baluchistan. Iran plans to use Chabahar for transshipment to Afghanistan and Central Asia, while keeping the port of Bandar Abbas as a major hub mainly for trade with Russia and Europe.
• The North–South Transport Corridor is the ship, rail, and road route for moving freight between India, Russia, Iran, Europe and Central Asia. The route primarily involves moving freight from India, Iran, Azerbaijan and Russia via ship, rail and road.] The objective of the corridor is to increase trade connectivity between major cities such as Mumbai, Moscow, Tehran, Baku, Bandar Abbas, Astrakhan, Bandar Anzali and etc.
• The world’s largest population of Zoroastrians are the Parsi community in India. When the Islamic Arabs invaded Persia, the local population which was unwilling to convert to Islam or accept dhimmi status were persecuted to different regions of the world with western India being the most significant. They sought refuge in the western coast of India and subsequent the country has the largest population of Zoroastrians in the world. In the modern era, the Parsi community have contributed significantly to India and Pakistan in the areas of politics, industry, science and culture. Prominent Indian Parsis include Dadabhai Naoroji (three times president of Indian National Congress), Field Marshal Sam Manekshaw, nuclear energy scientist Homi Bhabha, industrialist JRD Tata and the Tata family.

Cause of concern

• India’s decision to import its first shipment of crude oil from the U.S., with an order of 8.45 million barrels, giving rise to speculation that New Delhi’s new policy will come at the cost of imports from Iran.

Both need each other

• Both need stabilized Afghanistan. The return of Taliban in Kabul would affect key interests of both.
• Iran is the only country without the US dominance which stands between India and the West.
• It also large reserves of both oil and gas India could also be a source of important defense equipment and technologies for Iran. India’s hesitation may be related to the sensitivities of Israel (which is a friend of India).